Israeli Antitrust Authority summons Cellcom to discuss proposed Golan Telecom acquisition

29 Mar 2016

Israeli mobile network operator Cellcom has revealed that the Israeli Antitrust commissioner is considering opposing the current layout of its proposed purchase of Golan Telecom. In a press release filed with the local stock exchange, Cellcom confirmed that the Israeli Antitrust Authority (IAA) has summoned it to a hearing on the matter with a view to conveying its current concerns regarding the acquisition plans. With Cellcom to be given an opportunity to propose solutions to any concerns raised, the competition watchdog is then expected to make its decision on the purchase.

Meanwhile, Reuters reports that Golan Telecom has claimed that any rejection of the deal could have a negative impact on the local mobile market and cause prices to rise, with the company cited as saying: ‘A decision against the deal is also against European and OECD standards where there have been mergers in the market from five to four players. A decision against approving the deal would signal to foreign investors that Israel does not respect the rules of conduct and OECD standards.’

Israel, Cellcom, Golan Telecom